Capital & Regional raises dividend 25% (UK)

Capital & Regional plc, the co-investing property asset manager, raised its interim dividend 25% to 5p per share after it reported an increase in pre-tax profit for the six months to 30 June 2004.

Adjusted net asset value also rose in the half year and at June 30 2004 was 596 pence, up 14.4 pct.

Property under management increased from 2.9 bln stg to 3.2 bln over the six month period. Further acquisitions since the end of June have now increased the total to 3.7 bln stg.

Profit before tax was 17.4 mln stg, up from 8.3 mln.

Chief executive Martin Barber said the impetus has continued into the second half and he is confident that 2004 will be another good year for the company.

Chairman Viscount Chandos said that during the first half of 2004 the group continued to see significant increases in the value of retail investment properties in general. The company´s portfolios have also benefited from active management and have been well positioned within their sectors.

Chandos said both the Mall and Junction Funds have outperformed their benchmark indices.

The impetus has continued strongly in the second half, and Chandos reiterated Barber´s view that the outlook for the year is 'good'.

In the longer term, he said the board is confident that the company´s business model and management approach will continue to deliver outperformance both to investors in its funds and to shareholders in Capital & Regional.